Supercharging and 60 kWh Model S Orders - Message from George B

[aviators99]

I also want to congratulate Tesla for doing the right thing here.

 

[spleen]

Class act, Tesla is. Rewarded, they will be with much brand loyalty.

 

[ddruz]

Along with spleen, another Mahalo from Hawaii. Posted a big thank you on the Tesla forum yesterday as well.

 

[loganss]

Wow. Kudos to Tesla for going above and beyond.

I didn't think they needed to go this route but the fact that they did speaks volumes for their reputation.

 

[Johann Koeber]

As a shareholder I can say:

Thanks for doing the right thing. Tesla does and should distinguish itself from other car companies.

Keep up the good communication.

 

[ohaq]

I upgraded to 60kWh because i thought supercharger was included free, now going back to 40kWh.

 

[gg_got_a_tesla]

The 60 kWh SC story was featured in this Fool article: Tesla Magic - GM, TSLA, TM - Foolish Blogging Network

 

[Mycroft]

The 60 kWh SC story was featured in this Fool article: Tesla Magic - GM, TSLA, TM - Foolish Blogging Network

Excerpt:

"The most telling story that has emerged in Tesla’s short history was the way it dealt with a recent mishap. Tesla had a miscommunication with its customers who had purchased Model S sedans. Basically a feature which originally was thought to be free would cost $2,000 for an upgrade. The base model, which runs for $60,000, would have the capability to run on the fast-charge network but customers would have to shell out that extra $2,000 to get it. A slew of emails to the company followed as customers were dismayed, but this is where Tesla differed from other companies. Tesla had a top executive, George Blankenship, respond directly to the emails, followed by Tesla apologizing to customers and offering the upgrade for free."

Not a very accurately clear story, but any positive press ...

 

[Trnsl8r]

...
Our Incorrect Assumption - All customers in the configuration process would clearly understand there was an activation fee for 60 kWh cars.

This assumption was based upon the fact that Elon said it numerous times, we were verbally communicating it regularly, and it was showing up on the forums that there was an activation fee for 60 kWh cars. Elon also stated it again during his presentation at the Supercharger Event.

The assumption that the Activation Fee was clear is where we went wrong. In hindsight, we should have just put it in the text of the website, Design Studio and on customer's MVPA.
...

I'll add my voice of commendation to GB and TM for correcting this so nicely, but also hope that they learn from mistakes. Relying on blogs and forums to paint a complete picture of pricing seems like a rookie mistake. A customer should be able to log in on Tesla's web site, go to the design studio and order a car. Last I checked there weren't any disclaimers like "also see our various forum and blog posts for complete pricing information". My best guess is that only 10% of TM's customers right now are geeks like us and track this, and even most people here seemed caught by surprise...

It's not about whether you make mistakes, everybody does that, but about how you handle the mistakes you make. TM... tip of the hat to you.

 

[ljwobker]

I'm not a tesla owner, not likely to be one any time soon (I have to survive the lease on my LEAF first...) but please please please please please never stop communicating frankly and openly with your most intense customers. The vast majority of them will understand business decisions if communicated openly. The fact that they (maybe "we" one day) don't necessarily agree is moot. They will disagree and respect you if you're open and honest. They will disagree and hate you and talk bad about you behind your back if you're cryptic and sneaky about it. Please print this and hang in every Tesla product manager's office/cubicle/space-capsule/whatever. ;-)

 

[SuperCoug]

I've been stewing on this particular issue for a while and I finally think I'll chime in. As a reservation holder who was going to buy a 60 KWH car I was led to believe that Supercharger access was going to be free for the 60 KWH car BECAUSE IT SAID SO ON THEIR WEBSITE FOR WEEKS! The "TBD" had long been changed to "INCLUDED" and the fine print below the option said "includes the hardware and software needed for supercharger access". If we were in court I'd rest my case right there.

However, beyond the website it is important to know that the management at my local showroom told me in no uncertain terms that the Supercharger access was free for 60 KWH cars. In fact, he said "we have always known it would be, we were just testing the 60 kWH batteries to see if they could take the full charge or if they needed to be treated differently by the chargers".

Then we heard about the charge for the Supercharger access people went nuts and TM had to reconsider their position. The solution to include it free was the right choice but they didn't go far enough. IT SHOULD HAVE BEEN HANDLED JUST LIKE THE RECENT PRICE INCREASE. Everybody with a reservation should have been exempt from the charge for the Supercharger. It would have been the smart business move and it would have preserved the good will of the customers who has taken the leap of faith.

I don't expect many people to agree with me on this point and I know I'm setting myself up to get flamed but I don't think they handled this issue well at all. I would have gladly locked in my deposit on DAY ONE but obviously the timing on when we get to configure our car is out of our control. When my number came up I configured immediately but I did NOT include the supercharger. Mostly on principal (and probably to my detriment) but I just didn't like how this was handled.

There, I got it off my chest and I feel a bit better. One more thing: I do not believe that there is $2000 of hard costs associated with adding the Supercharger access to the car.

 

[DriverOne]

I agree in wishing that could be so. It sucks that another $8K gets you another 25kWh... and a very expensive car. The jump to 60kWh is comparatively very poor value at $10K for 20kWh. I'd have been happier even if they'd split the battery upgrade jumps in half - $9K to get the 60 upgrade, then $2K for the supercharger, then another $9K to get to 85kWh.

 

[pbrulott]

I can't agree more with you guys. Should have been included for the current reservation holders. I had even created a thread at the time TM changed the 60kWh Supercharger web site to "hardware included" saying thanks to TM...

don't htink it is going to change anything. I assume the rate of cancellation due to suprise price increases is low compared to new reservation coming in. Doubt us being unhappy will change anything. Suprises like supercharger cost, Canadian pricing premium, Service.

 

[pekap]

I'm in total agreement. No matter how you phrase it or the careful language you pick, the fact is that the website Supercharger access went from "TBD" to "Included." George/Tesla, if you are listening, you have lost a $75,000 sale from me over this issue, and potentially many more. If it is rectified, I would hit the "Finalize" button the same day. For the simple principle of this bait and switch (much more so than the money), I cannot in good conscience purchase the Model S as it stands.

 

[dsm363]

It said hardware and software included but did it say access to the network was included as well? I still agree they should find a way to make it work for current reservation holders up to the date they make the announcement.

 

[mnx]

It said hardware and software included but did it say access to the network was included as well? I still agree they should find a way to make it work for current reservation holders up to the date they make the announcement.

That sounds like overkill, it only said included for what a month at the most?

 

[brianman]

I'm in total agreement. No matter how you phrase it or the careful language you pick, the fact is that the website Supercharger access went from "TBD" to "Included." George/Tesla, if you are listening, you have lost a $75,000 sale from me over this issue, and potentially many more. If it is rectified, I would hit the "Finalize" button the same day. For the simple principle of this bait and switch (much more so than the money), I cannot in good conscience purchase the Model S as it stands.

Model S Options and Pricing | Tesla Motors
To my knowledge, this page has never said "included" for 60 kWh for the Supercharging section at the bottom.

My recollection is that it went from "TBD" to "$2,000".


I've always assumed the difference in the two sections was between Hardware and Service/Subscription. It seems that assumption was in line with Tesla's approach as well.


Regardless, I hope they can find a way to make you a happy buyer.



Edit:

----------------------------------------
Hardware

----------------------------------------
Software/Service/Subscription

 

[markb1]

My recollection is that it went from "TBD" to "$2,000".

I definitely went from "TBD" to "Included" to "$2,000".

 

[Kipernicus]

It definitely went from "TBD" to "Included" to "$2,000".

Yes, I remember that too. The question is what exactly was "Included"?

• Hardware
• Software
• Access

I don't think it was ever very clear.

 

[teslasguy]

It said hardware and software included but did it say access to the network was included as well? I still agree they should find a way to make it work for current reservation holders up to the date they make the announcement.

It said hardware and software included. I don't recall mention of any supercharger access fees.
Here's the rub that I posted about on here right before George posted that access would be free for all 60kw res. holders that had finalized as of that date.
It certainly appeared as though Tesla had decided to NOT install the hardware and software unless people paid the $2000.
That would have been a potential breach in my mind, certainly for anyone that had finalized.
What isn't so clear to me is what is happening to the people who had reservations, but hadn't yet finalized.
I know the fine print says they have the right to change pricing, yada yada...., but I don't know what if any legal implications it has for them to drop a feature commitment anytime up until finalizing, or even final payment.
I'd really like to know if in fact the 60kw cars are going to have the hardware and software installed as originally commited to, or are they dropping that if you don't pay the $2k?